Trumper Coal Baron Gets the Shaft

December 7, 2017

Takes some people a bit longer to learn.

Everything Trump touches dies. 
In this case, no tears. Not Sorry.

CNBC:

The Senate’s tax overhaul bill is a “huge tax increase” on certain businesses, said Robert Murray, chairman and CEO of coal giant Murray Energy.

Murray, who has been a big supporter of President Donald Trump, told CNBC he’s specifically upset about the decisions to keep the alternative minimum tax and to take away the deduction for net interest expense as a cost of business.

He said the Senate legislation will raise Murray Energy’s taxes by $60 million a year, “notwithstanding the other so-called benefits the Senate has proposed.”

“This means that very capital-intensive, highly leveraged employers, like coal-mining companies, will be forced out of business, with tragic consequences for our families and for many regions of our country,” Murray said in an interview with “Closing Bell” on Monday.

The Senate had planned to eliminate the AMT, as the House bill did, but last-minute changes kept the provision in the legislation. The House and the Senate now must reconcile their bills before sending a final version to Trump to sign into law.

Murray, who heads up one of the nation’s largest coal-mining companies, is known for his dire warnings about the decline of coal.

In February, he said global warming is a hoax and repeated a debunked claim that the phenomenon cannot exist because the Earth’s surface is cooling.

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5 Responses to “Trumper Coal Baron Gets the Shaft”

  1. rhymeswithgoalie Says:

    “Highly leveraged” businesses are not the healthiest in any case, and are often used as a mechanism to leave banks, investors and governments eating debt and/or responsible for the cleanup after the company managers have skimmed the cream.

  2. botterd Says:

    Deducting interest rate expenses encourages debt financing instead of equity financing. Debt financing tends to skim income from production and put it in the hands of the people who most easily command credit (those who already possess a lot of collateral/assets). Equity financing encourages people to plow part of their income back into the means of production (savings). Equity financing is always more resilient in times of stress and crisis.


  3. I’m a bit curious. Will his taxes really go up?? I don’t trust that guy, and I have to wonder if he is using the anger many have for him to his (along with Trump and congressional Republicans) advantage. Could he be saying that in the hopes that said anger will get people to think, “Good, that guy should be paying more taxes. Maybe this tax bill isn’t so bad.”

    Maybe I’m wrong, but I wouldn’t put it past folks like him to lie.

  4. Gingerbaker Says:

    Watching one of the worst human beings on the planet whine about his misfortune is like savoring sweet delicious ice cream for me. Thank you, Peter! 🙂


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